The Government approved the new Plan to Prevent and Prosecute Tax, Labour and Social Security Fraud early this year. The objective is to prevent and prevail upon the submerged economy and on earnings not declared.

This new plan consists of sixty measures structured around four main courses of action. They are: 

Joint measures

These are intended to facilitate access to the information already in the hands of the Public Administration and share it with the tax authorities, the Social Security and the work inspection authorities.

These measures are intended to control risk areas that can be a source of fraud such as fraud derived from the under-valuation and contraband of certain goods, false self-employed workers, improper hiring discounts, false vacation leave, private medical centres and contributions for exceeding the working hours established in part-time contracts.

Measures to prevent and prosecute tax fraud

These measures will be focused on detecting income not declared, bank deposits within the European Community, tax fraud through the use of tax havens, investigation of movements in cash, information on licenses granted by local authorities, exhaustive control over false invoices, control over the activity of those who declare tax by module, expenses non-deductible for tax purposes and investigation of any indication of a link with tax fraud or money laundering. 

Measures to prevent and prosecute labour fraud

These will be centred on underground workshops, seasonal agricultural companies, low price retail outlets and contracts subsidized by the Autonomous Communities.

Measures to prevent and prosecute social security fraud

These will be based on the control of workers registered for partial retirement, joint control over unemployment pay and subsidies fraud and control over the social security debts of medium and large companies.